Morgan Stanley sets aside $199 million more for litigation costs

NEW YORK

NEW YORK Aug 2 (Reuters) - Morgan Stanley set aside
an additional $199 million for expected litigation expenses in
the second quarter, much higher than the $4 million increase it
reported in the year-ago period, the bank said on Friday.

So far this year, Morgan Stanley has built up an additional
$270 million in litigation accruals, compared with $21 million
in the first six months of 2012.

The bank did not outline what the increased reserves were
specifically for, and does not say what its overall litigation
reserves are. Morgan Stanley detailed the additional accruals,
as well as updates on several ongoing legal proceedings, in its
10-Q quarterly filing with the U.S. Securities and Exchange
Commission.